Equity release plan as rates fall

Posted in Equity Release Property News

1st September 2010

An equity release plan could offer relief to those concerned about their retirement income as new research has found that annuity levels have reached their lowest levels since records began.

According to Investment Life and Pension Moneyfacts the rates on annuities are now the lowest they have been since 1994, after a spate of re-pricing by providers over the summer.

It means that a 65 year old man will receive just £647 a year for every £10,000 he has saved, 6.3 per cent less than last year.

If you're worried that an annuity won't be enough to fund your pension, then an equity release plan may be the answer.

By unlocking the value that has built up in your home you could release a cash lump sum and significantly boost your annual income as well.

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